Digana new liquor permit : State Finance Minister gives clarification

June 7, 2024 at 1:26 PM

State Finance Minister Ranjith Siyambalapitiya revealed that 400 residents of Digana have signed a petition expressing their gratitude to the Divisional Secretariat for permitting the opening of a second liquor outlet in their town.

The Minister presented the petition in response to opposition inquiries regarding liquor sales and the issuance of licenses in the country.

The State Minister emphasized that while the government does not promote alcohol, there are two sides to the issue of liquor permits. “There are two sides to this issue. Only 404 licenses were issued out of 1424 applicants between July 01, 2022 to May 21, 2024. The issuance of licenses goes through a meticulous process and investigation. However, there is another side to this,” the State Minister said.

“For over 30 years, only a single liquor license was in operation in Digana, with the vendor engaging in monopolistic practices. People were unable to purchase products of their choice,” the Minister quoting the petition said.

According to the Minister, the petitioners highlighted that residents of Digana had to travel far to Menikhinna, Teldeniya, and Naththarampotha areas in order to purchase popular liquor products.

The sole liquor outlet in Digana sold products at Rs. 20 to 50 above market price, the letter said.

State Minister Siyambalapitiya noted that the petitioners appreciated the authorities for permitting the opening of a second liquor outlet, enabling competition and creating better opportunities for other businesses in the town.

Reiterating that the government does not promote alcohol consumption, Siyambalapitiya said that alcohol prices had increased by 108% in the year 2023.

“The government’s policy is evident from the excise tax revenue. Alcohol consumption decreased from 43 million litres in 2022 to 35 million litres in 2023, which is a 19% reduction. Meanwhile the annual liquor license fee has been increased by 13%,” the State Minister said.

Minister Siyambalapitiya revealed these details in response to charges by Opposition Leader Sajith Premadasa that the issuance of soft liquor permits have increased in the recent past. (Newswire)